Avis Budget lost $1B in 3Q, as it had warned

The loss matched preliminary results the company released on Oct. 28. Avis has been hurt as airlines cut capacity, reducing traffic to airports.

Avis said it lost $9.91 per share during the quarter that ended Sept. 30, versus a profit of $103 million, or 99 cents per share, during the same period last year.

Revenue fell 1 percent to $1.7 billion.

Avis said that without $1.3 million in impairment charges, it would have earned pretax income of $87 million, or 55 cents per share.

Analysts surveyed by Thomson Reuters were expecting a profit of 59 cents per share on revenue of $1.74 billion.

The restructuring charges stem from 700 job cuts, which the company said will save it more than $50 million a year. The company employs about 30,000 people.

Even though its fiscal year ends in less than two months, Avis Budget said that it would not update full-year estimates for revenue or profits, saying only those items "will be significantly lower" than previous estimates because of lower-than-expected vehicle rental revenue.

Avis Budget said its domestic fleet costs will increase about 8 percent per vehicle for the full year, higher than previously estimated. It said that was because of costs and inefficiencies from reducing its fleet.